Credit: Shutterstock photoIn an attempt to expand Wi-Fi services for customers, Time Warner Cable Inc. ( TWC ), the second largest cable multi service operator (MSO) in the U.S., and global Wi-Fi service provider Boingo Wireless, Inc. ( WIFI ) have jointly announced a roaming access agreement. However, the financial terms of the deal have been kept under wraps.
Per the agreement, Time Warner Cable customers can now access Boingo's Wi-Fi services in an excess of 100 superior Boingo locations, which comprises 23 most operated airports, 36 New York City subway station platforms and Washington State Ferries, and the remaining in popular locations like shopping malls and restaurants.
On the other hand, Boingo Wireless, which provides Wi-Fi services to more than 1 billion customers annually, will be able to increase its presence in the U.S. by providing its customers access to more than 35,000 Time Warner Cable Wi-Fi Hotspots in popular cities like New York City, Austin, Los Angles, Charlotte, Myrtle Beach, Hawaii and Kansas City.
Apart from this agreement, both the companies are doing next-gen trials and are looking forward to the implementation of Passpoint-enabled integration in the later part of 2014. Once Passpoint-enabled integration is completed, both companies' customers will be able to connect flawlessly to Wi-Fi services using their Passpoint-certified devices and account authorizations.
Though the current deal seems a minor one as it will give Time Warner Cable customer access to Wi-Fi services across only over 100 locations, we believe this will serve as the initial plan to expand internet services on a large scale in the near future.
Last month, Time Warner Cable had announced the addition of Passpoint security and Hotspot 2.0 to most of its hotspots. After the complete deployment of Hotspot 2.0, it is likely that Time Warner Cable will come up with more number of roaming access agreements with other companies in the future. Such deals will not only help the company increase its customer base but will also aid in safeguarding its position against rivals like Comcast Corporation ( CMCSA ), Cablevision Systems Corporation ( CVC ) and others.
Time Warner Cable currently has a Zacks Rank #3 (Hold).
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CABLEVISION SYS (CVC): Free Stock Analysis Report
COMCAST CORP A (CMCSA): Free Stock Analysis Report
TIME WARNER CAB (TWC): Free Stock Analysis Report
BOINGO WIRELESS (WIFI): Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
